MarketWise (MKTW) AI Stock Analysis

• Market Cap: $277.99M
• Dividend Yield: 10.01%
• Average Volume (3M): 16.10K
• Price to Earnings (P/E): 1.6
• Beta (1Y): 1.32
• Revenue Growth: -17.17%
• EPS Growth: 497.89%
• Country: US
• Employees: 439
• Sector: Financial
• Sector Strength: 70
• Industry: Software - Application
• EPS (TTM): 0.53
• Shares Outstanding: 2,758,989
• 10 Day Avg. Volume: 20,156
• 30 Day Avg. Volume: 16,102
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: -0.83
• Enterprise Value/Revenue: -0.64
• Enterprise Value/Gross Profit: -0.74
• Enterprise Value/Ebitda: -2.68
• 1Y Price Target: $20.00
• Price Target Upside: 17.79% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 52 Neutral
• Price Target: $17.00 ▲(0.12% Upside)

MarketWise's overall stock score is primarily impacted by its financial instability, with declining revenues and negative equity posing significant risks. While the technical analysis shows some short-term strength, the bearish momentum and long-term weakness are concerning. The low P/E ratio and high dividend yield suggest potential undervaluation, but sustainability is questionable given the financial challenges.

MarketWise Business Overview & Revenue Model

Company Description

MarketWise, Inc. (MKTW) is a financial publishing and education company that specializes in providing investment research and analysis to retail investors. The company operates primarily in the financial services sector, offering a range of subscription-based products, including newsletters, trading services, and investment advisory tools. MarketWise focuses on empowering individual investors by delivering actionable insights and strategies designed to enhance their investment decision-making capabilities.

How the Company Makes Money

MarketWise generates revenue primarily through subscription sales of its investment research products and services. The company offers various subscription tiers, allowing customers access to different levels of content and resources. Key revenue streams include monthly and annual subscriptions to its newsletters and advisory services, which provide market analysis, stock recommendations, and trading strategies. Additionally, MarketWise may earn revenue through partnerships with financial institutions and affiliate marketing arrangements that promote third-party financial products. The company also leverages digital marketing strategies to attract new subscribers and retain existing customers, contributing to its overall earnings.

MarketWise Financial Statement Overview

Summary

MarketWise faces significant financial challenges, with declining revenues, negative equity, and cash flow issues. While gross margins are strong, the company's ability to convert revenue into profit and cash is limited. The negative equity position and declining cash flows pose risks to financial stability and growth prospects.

Income Statement

MarketWise's income statement shows declining revenue with a negative growth rate of -6.55% TTM. The gross profit margin remains strong at 86.75%, indicating efficient cost management. However, the net profit margin is low at 1.69%, reflecting challenges in translating revenue into profit. EBIT and EBITDA margins are relatively healthy, but the overall revenue decline and low net profitability are concerning.

Balance Sheet

The balance sheet reveals a negative stockholders' equity, leading to an unusual negative debt-to-equity ratio. This indicates potential financial instability. The return on equity is negative, suggesting inefficiencies in generating returns from equity. The equity ratio is not calculable due to negative equity, highlighting a weak financial position.

Cash Flow

Cash flow analysis shows a significant decline in free cash flow growth at -49.56% TTM, indicating cash generation issues. The operating cash flow to net income ratio is low at 0.08, suggesting limited cash conversion efficiency. The negative free cash flow to net income ratio further underscores cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	358.12M	408.70M	448.18M	512.40M	549.18M	364.18M
Gross Profit	310.68M	358.04M	391.38M	449.71M	309.93M	209.57M
EBITDA	86.05M	96.19M	58.21M	89.86M	-964.92M	-535.96M
Net Income	6.04M	7.06M	1.78M	17.99M	-1.01B	-538.37M
Balance Sheet
Total Assets	211.75M	259.51M	396.56M	442.51M	421.55M	284.81M
Cash, Cash Equivalents and Short-Term Investments	69.11M	97.88M	155.17M	158.57M	139.08M	114.42M
Total Debt	1.51M	4.37M	5.81M	7.32M	8.21M	8.90M
Total Liabilities	438.77M	477.44M	685.50M	740.89M	826.82M	1.21B
Stockholders Equity	-227.02M	-12.54M	-11.08M	-21.20M	-48.55M	-914.75M
Cash Flow
Free Cash Flow	-22.41M	-22.83M	60.70M	48.20M	62.46M	55.39M
Operating Cash Flow	19.73M	-22.15M	62.43M	48.37M	63.63M	55.88M
Investing Cash Flow	-494.00K	-681.00K	-1.90M	-13.24M	-8.31M	-9.65M
Financing Cash Flow	-59.51M	-34.46M	-63.95M	-16.19M	-30.68M	-103.37M

MarketWise Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.98
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MKTW, the sentiment is Positive. The current price of 16.98 is above the 20-day moving average (MA) of 14.83, above the 50-day MA of 16.31, and above the 200-day MA of 15.07, indicating a bullish trend. The MACD of -0.14 indicates Negative momentum. The RSI at 64.37 is Neutral, neither overbought nor oversold. The STOCH value of 55.72 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MKTW.

MarketWise Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EGAN	―	$387.42M	12.43	46.33%	―	-4.71%	368.66%
TRAK	―	$274.44M	43.42	14.48%	0.50%	10.53%	21.98%
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
MKTW	―	$277.99M	1.58	―	10.01%	-17.17%	497.89%
SMRT	―	$261.42M	―	-25.48%	―	-28.45%	-224.48%
COE	―	$287.11M	-43.96	―	―	91.86%	52.66%
OCFT	―	$299.65M	-3.01	-24.21%	―	-48.61%	-2291.48%

MarketWise Corporate Events

MarketWise Receives Acquisition Proposal from M&C Holdings

On October 29, 2025, MarketWise, Inc. announced it received an unsolicited proposal from Monument & Cathedral Holdings, LLC to acquire all outstanding equity interests not owned by M&C for $17.25 per share. The proposal’s acceptance is contingent upon the termination of MarketWise’s tax receivable agreement. The company’s Board of Directors is reviewing the proposal with advisors, and there is no guarantee a transaction will occur.

The most recent analyst rating on (MKTW) stock is a Hold with a $15.00 price target. To see the full list of analyst forecasts on MarketWise stock, see the MKTW Stock Forecast page.

MarketWise Inc. Reports Q2 2025 Earnings and Outlook

MarketWise Inc., a Delaware-based company, operates as a holding entity for MarketWise, LLC, providing independent investment research and financial tools primarily for self-directed investors. The company is recognized for its multi-brand platform offering subscription-based investment research and analytical tools.

MarketWise Appoints Erik Mickels as COO and CFO

On July 31, 2025, MarketWise appointed Erik Mickels as Chief Operating and Financial Officer, a role combining his previous position as CFO with new operational responsibilities. Mickels, who has over 25 years of experience, is expected to drive operational excellence and financial strategy, enhancing MarketWise’s mission to provide world-class financial insights. His leadership is anticipated to support MarketWise’s growth and transformation, benefiting stakeholders by improving performance and fostering innovation.

The most recent analyst rating on (MKTW) stock is a Buy with a $2.00 price target. To see the full list of analyst forecasts on MarketWise stock, see the MKTW Stock Forecast page.